RIEDEL RESOURCES LIMITED — Capital/Financing Update 2012

Aug 2, 2012

==> picture [180 x 72] intentionally omitted <==

ASX ANNOUNCEMENT

3 August 2012

COMPANY DIRECTORS Mr Ian Tchacos Non-Executive Chairman

Share Placement

Mr Bruce Franzen Executive Director

Riedel Resources Limited (“Riedel” or “the Company” , ASX: RIE ) is pleased to announce that it has agreed to raise approximately $1.17 million before costs under a placement of approximately 15,596,650 ordinary shares at an average issue price of $0.075 per share to sophisticated and professional investors (the “Placement”). DJ Carmichael Pty Ltd is Lead Manager to the Offer.

Mr Jeffrey Moore Managing Director

Mr Andrew Childs Non-Executive Director

COMPANY SECRETARY Mr Bruce Franzen

CONTACT DETAILS Principal & Registered Office Suite 1 45 Ord Street West Perth WA 6005 Australia

HIGHLIGHTS

Placement to raise approximately $1.17 million before costs, up to 15,596,650 ordinary shares at an average issue price of $0.075 per share

Postal Address PO Box 1559, West Perth WA 6872 Website www.riedelresources.com.au

• ─ Tranche 2 Placement of approximately 7,798,325 shares at an issue price of $0.115 per share to raise approximately $0.9 million before costs

Email admin@riedelresources.com.au

• ─ Further placement up to approximately 7,798,325 shares at an issue price of $0.035 per share to raise approximately $0.27 million before costs

Phone +61 8 9226 0866

Facsimile +61 8 9486 7375 ABN: 91 143 042 022 ASX CODE: RIE, RIEO

Shares will be issued on a 1:1 basis from the Tranche 2 pool and the further placement pool.

Tranche 2 of the Placement, being approximately 7,798,325 shares will be issued in accordance with pre approval by shareholders received at a General Meeting held on 15 June 2012.

The further placement, being approximately 7,798,325 shares will be issued under the 15% capacity under ASX Listing Rule 7.1. It will subsequently be put to shareholders and ratified at a General Meeting to be held in September 2012.

==> picture [65 x 104] intentionally omitted <==

==> picture [65 x 66] intentionally omitted <==

==> picture [141 x 56] intentionally omitted <==

For further information please contact:

Bruce Franzen Executive Director Riedel Resources Limited Tel: +61 8 9226 0866 Email: bruce.franzen@riedelresources.com.au

Jeffrey Moore Managing Director Riedel Resources Limited Tel: +61 8 9226 0866 Email: j.moore@riedelresources.com.au

About Riedel Resources Limited

Riedel Resources Limited is an Australian-based exploration company established to explore for and develop mineral deposits. Since listing on ASX on 31 January 2011 the Company has successfully secured the services of a core team of experienced corporate and technical professionals, experienced in all facets of exploring and developing minerals deposits in Australia and overseas.

Further information can be found on Riedel Resources at the Company’s website www.riedelresources.com.au

Page 2